Stocks...
Spu’s…It would take over 1939-41 for any meaningful short covering.
Nasd 100…4268 and 4379 are the resistance levels.
Bonds …
Bund…(SEPT) 154.30 is today’s resistance. This needs sustained price recovery back over 153.35 to rally anywhere.
FX…
USD/JPY…119.00-40 is today’s Dollar support ( 83.75-84.00 Futures resistance)
Euro…failure to remain above 113 can see this roll over with bottom fishing in the U.S. Indices.
USD/CNY…Yuan...has been grinding higher from 6.45 devaluation to 6.35 which is Yuan resistance (dollar support).Closing through his level will lead to more Yuan strength.
Commodities…
Oil…got close enough to 43.40-60 last night to complete it’s initial downside move.
I’m looking to sell a 2 dollar rally.As long as there is no meaningful price action above 47.25 I’m in the bear camp for scalping as I think that producers worldwide are willing to put on hedges in the high 40’s.
Look for more two way trading.
Gold…needs a close over 1145 to extend. 1125 remains support. I’m not looking for much until unemployment on Friday when Gold typically has moves that delineate extremes for the next month of trading.
General Comments or Valuable Insight
I’m looking for the U.S. Equity Indices to spend the bulk of the day trying to rally.
The commodity currencies are getting oversold. They could bounce with firm equities.
We’re in the midst of the mid-week shuffle.
I’m skeptical that equity bears will get any help from Europe going into tomorrow’s ECB meeting. I think you’d find more willing sellers on a rally into or after the meeting.